Paul Volcker is Frustrated by Banker’s Attitude Problem

Paul Volcker recently attended a conference which included several high-level bankers. Volcker was incredulous at the lack of reforms implemented to prevent a replay of the debacle over the past year.

On the subject of pay, Volcker said, “Has there been one financial leader to say this is really excessive? Wake up, gentlemen. Your response, I can only say, has been inadequate.”

“I wish someone would give me one shred of neutral evidence that financial innovation has led to economic growth — one shred of evidence,” said Mr Volcker, who ran the Fed from 1979 to 1987 and is now chairman of President Obama’s Economic Recovery Advisory Board.

SMA Comment: I’m afraid corruption runs so deep on Wall Street and within the government that Volcker is wasting his breath. However, it’s refreshing that someone in a position of some influence is willing to stand up and question the system and the scoundrels running it.

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